Market Report: Wk 26

The closing Market for 2015 did not disappoint as the EMI pushed up 14c to close the week on 1265c.

Most fleece categories opened on Wednesday 20-30c higher with the lower style/specified types (relatively) outperforming the best style lots on offer, bucking the trend of the past two months. Thursday’s market consolidated the previous day’s levels in Sydney however; the closing Melbourne sale was slightly cheaper.

Skirtings mirrored the Fleece trend, whilst Crossbreds under pressure of the largest offering for the past 12 months delivered a varied result for the week dependent on the centre. The Merino Cardings posted solid rises and the Northern MC indicator reached a new record high at 1117c.

Wrapping it up for 2015: The EMI at 1265c is 206c (+19.5%) higher in AUD (a mere 2.8% higher in USD), the largest yearly rise in AUD in 8 years and the highest December finish on record. The EMI is heavily driven from the Carding Crossbred and Medium and Coarse MPG’s.

The release of the Australian Wool Production Forecast Committee released its third forecast for the 2015/16 season depicting a 7.0% production decline to 322 Mkg. This reflects the estimate that there will be a fall nationally of 4.8% in sheep numbers, coupled with a 2.3% drop in average fleece weights. The 7% decline is a breakout from a stable period over the past six seasons which have hovered between 340 and 350 Mkg.

Moses & Son and Bluechip Livestock, Management and Staff wish you all a safe and happy Christmas.